Selling rented property and porting the mortgage to main home to avoid ERC?

hughwi

Hi,

I am hoping for some advice, or at least a steer in the right direction, as we have had conflicting information from several customer services team members at the lender's end.

We currently have a rented property with 4 years left on a 5 year fix, its a residential mortgage with a consent to let attached with Natwest. - The ERC would come out at about 4-5% and cost north of £13k if we were to sell the property outright. Our current home also has a residential mortgage with Yorkshire building society, that is also on a 5 year fix, but this is ending in August this year. The amounts owed on the mortgages and the values of the properties are pretty much the same, and we have some savings we could use to negate any difference between the amounts if needed to topup/repay.

We are hoping for a way that we can sell the rented property, and port the mortgage over the our current property, without needing to pay the large ERC, and without causing any issues with the current lender (ideally just paying them off in the same way you would with a remortgage when the current deal ends). I have spoken to several people at Natwest and YBS who have said this is technically possible, and several that have said it isnt possible.

I havent been able to find much on this particular situation (two residential/personal mortgages and attempting to port to a property you already own) so am hoping for some advice, or even suggestions of who to speak to (a solicitor? a broker?) to try and work through this.

Thanks
Hugh

kingstreet

NatWest criteria;-

"We do not consider porting applications where the customer’s existing mortgage has already been redeemed on/before the date that they apply for the new mortgage OR they already own/co-own the property they are seeking a new application on."

hughwi

Thank you for that - somehow that didnt come up in a Google search.